South End Loft with Parking for $449,500

There are so few opportunities to get a large, new, and totally tricked-out space with parking in the South End for under $450k. Here is one and it’s just come into my office. New “loft” conversions have one big flaw: they tend to be long, narrow spaces with a few windows at the end of a tunnel. This unit is not an exception to that rule. To counter the effect, this unit has been fitted out with sliding panels that hide closets, a desk space and the bedroom. At the end of the hall is a large open kitchen/living room with three tall windows. The building is conveniently located on the corner of Berkeley and Washington and offers extra storage space, bike room, and deeded parking. With 865sf, this spacious unit offers something else that is hard to find at this price: a big, open entertaining space for swell parties while feeling comfortable for one or two to relax at home.

Homebuyer Tax Credit Extention

From the IRS:  A new law that went into effect Nov. 6 extends the first-time homebuyer credit five months and expands the eligibility requirements for purchasers.

The Worker, Homeownership, and Business Assistance Act of 2009 extends the deadline for qualifying home purchases from Nov. 30, 2009, to April 30, 2010. Additionally, if a buyer enters into a binding contract by April 30, 2010, the buyer has until June 30, 2010, to settle on the purchase.

The maximum credit amount remains at $8,000 for a first-time homebuyer –– that is, a buyer who has not owned a primary residence during the three years up to the date of purchase.

But the new law also provides a “long-time resident” credit of up to $6,500 to others who do not qualify as “first-time homebuyers.” To qualify this way, a buyer must have owned and used the same home as a principal or primary residence for at least five consecutive years of the eight-year period ending on the date of purchase of a new home as a primary residence.

For all qualifying purchases in 2010, taxpayers have the option of claiming the credit on either their 2009 or 2010 tax returns.

A new version of Form 5405, First-Time Homebuyer Credit, will be available in the next few weeks. A taxpayer who purchases a home after Nov. 6 must use this new version of the form to claim the credit. Likewise, taxpayers claiming the credit on their 2009 returns, no matter when the house was purchased, must also use the new version of Form 5405. Taxpayers who claim the credit on their 2009 tax return will not be able to file electronically but instead will need to file a paper return.

A taxpayer who purchased a home on or before Nov. 6 and chooses to claim the credit on an original or amended 2008 return may continue to use the current version of Form 5405.

Income Limits Rise

The new law raises the income limits for people who purchase homes after Nov. 6. The full credit will be available to taxpayers with modified adjusted gross incomes (MAGI) up to $125,000, or $225,000 for joint filers. Those with MAGI between $125,000 and $145,000, or $225,000 and $245,000 for joint filers, are eligible for a reduced credit. Those with higher incomes do not qualify.

For homes purchased prior to Nov. 7, 2009, existing MAGI limits remain in place. The full credit is available to taxpayers with MAGI up to $75,000, or $150,000 for joint filers. Those with MAGI between $75,000 and $95,000, or $150,000 and $170,000 for joint filers, are eligible for a reduced credit. Those with higher incomes do not qualify.

New Requirements

Several new restrictions on purchases that occur after Nov. 6 go into effect with the new law:

• Dependents are not eligible to claim the credit.
• No credit is available if the purchase price of a home is more than $800,000.
• A purchaser must be at least 18 years of age on the date of purchase.

For Members of the Military

Members of the Armed Forces and certain federal employees serving outside the U.S. have an extra year to buy a principal residence in the U.S. and still qualify for the credit. An eligible taxpayer must buy or enter into a binding contract to buy a home by April 30, 2011, and settle on the purchase by June 30, 2011.

For more details on the credit, visit the First-Time Homebuyer Credit page on IRS.gov.

So, You Want a “Dwell” House

It’s a simple formula. You start with the house on the left in the photo, and you finish with the house on the right. Alright, there are a lot of steps in between but that’s where we come in. Cambridge is full of these houses. Harvard Graduate School of Design grads have been building them all over Cambridge for decades. For the past decade, whatever we decide to call that decade, everyone wanted a house that looked like it rolled off the pages of “Dwell.” There are lots of empty building parcels and run-down houses ready to be reconceived in, ahem, imaginative ways. It’s one of Cambridge’s charming traits. Funk. The house pictured here has just gone under agreement, alas, as I was preparing this post over the weekend but it’s simply an example of what’s out there. In this case, the house was offered at $670,000. Ouch? No. That price included a separate vacant building lot. The two parcels might be combined into one larger development of multiple units or the existing house might be repaired and sold off in order to build on the land, which was offered by itself at under $270,000. Such is the nature of opportunity and the ever-transforming Cambridge landscape. And who doesn’t love a project?

South End Condo – Opportunity Cost

You’ve walked by this building a million times on your way to Foodies, next door. It’s the sort of unit that would have sold easily in the rollicking good times but financing is tricky for condos with a high percentage of commercial space (generally, more than 25%). Only the most qualified buyers with large downpayments are likely to find the necessary local source of financing. For those ready and able, this unit presents a great opportunity. There are 823 square feet of sun-drenched space. To call it a loft is really stretching the word but it has very tall ceilings and an actual bedroom. There is a second interior space  (realtor speak for – no windows) that is closed off by french doors which could be used as a study or guest room. The kitchen is clean and up-to-date but the bathroom is, well, it’s clean. On that subject, I’ll just say two words: clawfoot tub. So, there you have it. A huge apartment in a great location in the South End and they’re only asking $350,000. That’s barely $425 per sf. What’s the catch? Ah, yes. Naturally. Beyond the need to have perfect credentials, this is a “short sale.” It means the seller owes more than the asking price. It means a messy, protracted negotiation with a lot of parties who have to agree on your deal. For this, you will need a lot of guidance and to be prepared to present prolific paperwork. Your reward is a cool “loft” at a very cool price.

Back to School

Tucked into a corner location on St. Botolph Street between Mass Ave and West Newton, behind the Midtown Motor lodge, is this converted school building. Architect Graham Gund reconceived it as condos in 1980, which explains the vintage kitchen and bath – laminate cabinets with oak strip pulls and quarry tile flooring. This available penthouse unit is totally kooky-cool with a Moulin-Rouge garretty vibe. There are skylights and angular walls of glass leading to a hidden rooftop outdoor patio. There is more than 900 square feet of funky, soaring space and a deeded parking spot. At $550,000, this is a great price for a location that bridges Back Bay and South End with easy access to shopping and transportation.

Other Edge of the South End

Finding a two bedroom unit in the South End for less than $400,000 is tough. Those units, if they can be found, are often basement units or the rooms are tiny. They are even getting difficult to find on the outskirts of the South End… along Mass Ave or near the Pine Street Inn. One area that is overlooked is the extension of Union Park Street between Harrison and Albany. There is a charming and quiet block of buildings within a very short walk to all of the action in Eight Streets. New restaurants like Gaslight and Rocca plus all of Washington Street are just a few blocks away. And, now that it’s January and you’ll start going again, the gym is right across the street.

This unit has been completely updated with gleaming floors, central air, recessed lighting, and new windows. The kitchen is up to date and the tiled bathroom is modern. There is almost 900sf of functional living space with a great layout on the second floor. Parking is not included but indoor spaces are available for sale one block away in Rollins Square. Combined with a low common charge of $130 a month, this affordable unit  would be an inspired choice for a bargain-hunter looking for space and convenience without disappearing from society!

Crawl home from Fritz

It’s an eye-catching building equa-distant between Fritz and the Eagle. Or, Back Bay station and South End Formaggio. This 610 sf one-bedroom is back on the market for $415,000. That’s a great price considering the size, location and condition.

Fully renovated with A/C, this unit offers something that a lot of buyers don’t notice right away. It has a southwest corner exposure and a floor plan that could easily accomodate a windowed second bedroom or office. But you’ll have to act fast, units at this price/location are going faster than the cheap well drinks at Fritz on a Sunday evening. The homebuyer tax credit and low interest rates are keeping the inventory of good Boston condos scarce.

You’ve got to wonder…

When people see a “for sale” sign, they often wonder about the price. How much could an entire loft building, unconverted and unrenovated, cost on Harrison Avenue in the South End? Yes, it’s the whole building, roughly 50,000 square feet of raw space. It used to be Jordan Marsh’s stable, whatever that means. It’s sprinklered and there is an elevator and a drive-in door with plenty of indoor parking. There could be a couple of retail spaces on the first floor with residences or offices above.  Maybe the city would allow an additional floor or two? Maybe you’d just like to get a potter’s wheel and leave the space really raw? Perhaps you see it as live/work spaces for creative types? Or you think Boston needs NY’s latest craze, high rise homes where you drive onto an auto-lift that takes you, in your car, right into your penthouse apartment. Whatever you imagine, you just wonder how much could that building possibly be? Hasn’t that sign been on it for over three years? The answer is $8.25 million. And that’s just recently down from $12 million. Now you’re wondering, how much would it cost to renovate?

Height Challenged History

I showed this historic property to clients in the spring. My heart was racing when we pulled up to this adorable old house but it was the listing agent that was sweating. As I got out of the car, all 5′-7″ of me, the agent seemed pleased to see me. As the husband of the couple with whom I’d come to see the house got out of the car, all 6′-4″ of him, the agent’s smile disappeared. As I extended my hand, he said,  “please tell me that you’re the buyer.” When we entered the house, I understood why. With ceilings barely 7′ high (and a little lower in some places… higher in others), this is not a house for tall owners. It is, however, an amazing house for lovers of authentic, unspoiled period properties in great towns with all the amenities expected in the near suburbs of Boston like excellent schools, commuter train service, a proper historic village and, well this is important to me, an amazing wine and cheese shop. Historic properties in Concord regularly sell well in excess of a million dollars. With an as-is asking price under $700,000, there is room for improvement. The tax assessment  is in the seven figures. On a fairly busy but protected historic road, the property contains almost an acre. The trees have grown in and now provide, perhaps too much, shade from the southern exposure which once gave the property a perfect grape growing micro-climate. So perfect, in fact, that it was at this property that the Concord Grape was born. The home is referred to as “Grapevine Cottage” and, until recently, the Welch’s company tended the vines that still grow on the property. Sure it could use plenty of updating but it’s got a new septic system and wood shingle roof. Totally unspoiled by bad “renovations,” this is a purist’s dream. There is a front parlour and adjoining formal dining room. There is a library, kitchen and family room. Upstairs, the bedrooms are spacious and there’s even a back stair going down to the family room/kitchen. With amazing potential, all it really needs is the right preservation architect, like, say, Timothy Cronin, and some new owners. They’ll need to be short… but not short-sighted.

Perfect for the Goldman Sachs partner in your life

Combining two units into one glamorous home is tricking business. This Penthouse in the converted church at 2 Clarendon demonstrates how spectacular space (almost 2000 square feet of light drenched views from this lofty perch) can be wasted with an ill-conceived floor plan. Like an arthritic patient, this one needs better circulation and a transfusion (of good taste, stat!) The bones are here, masked as they are with bad millwork and a spiral staircase that rises practically in the middle of a 26 foot square glass-encased rooftop solarium. At least they managed to drop it practically right in the middle of the living room where it could cut off any chance of furnishing that room, too.

This penthouse contains the glass tower to the right. No, not that one. That's the John Hancock tower. It's to the right of the rose-windowed gable.

On the other hand, it is a 2000 square foot penthouse with private roofdeck and a garage at the epicenter of the South End. The floor plan is easily fixable and, with proper finishes, could provide the canvas for one of the most elegant homes in Boston. This much character and potential doesn’t come cheap, at almost $1.7 mil. It’s the sort of price per sf that reflects the rarity of the space, not the quality. If your bonus doesn’t quite get you to the top of this building, there is a corner one bedroom a couple of floors down for $459,000. Unless you’re thinking that’d be a perfect place for your gentlemen’s gentleman to live….